Hindustan Petroleum Corporation Limited FY26 profit jumps 133% on higher fuel sales and refining margins

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Hindustan Petroleum Corporation Limited reported strong financial and operational performance for the financial year ended March 31, 2026, supported by higher refinery throughput, growth in fuel sales and improved refining margins.

The company’s standalone profit after tax rose 133 per cent year-on-year to INR 171.75 billion (USD 1.8 billion) in FY26 from INR 73.65 billion (USD 770 million) in FY25. Consolidated profit after tax increased 168 per cent to INR 180.47 billion (USD 1.89 billion) from INR 67.36 billion (USD 704 million).

Revenue from operations stood at INR 4.79 trillion (USD 50.07 billion) in FY26, compared with INR 4.66 trillion (USD 48.71 billion) a year earlier. For the fourth quarter, revenue increased to INR 1.24 trillion (USD 12.96 billion) from INR 1.18 trillion (USD 12.34 billion) in the corresponding quarter of FY25.

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Gross refining margin improved to USD 8.79 per barrel in FY26 from USD 5.74 per barrel in FY25. In the fourth quarter, gross refining margin rose to USD 14.27 per barrel from USD 8.44 per barrel a year earlier.

The board recommended a final dividend of INR 19.25 (USD 0.20) per equity share for FY26 in addition to the interim dividend of INR 5 (USD 0.052) per share already paid during the year.

Refineries recorded their highest-ever crude throughput of 26.04 million tonnes in FY26, up 3 per cent year-on-year. Distillate yield also reached a record 75.8 per cent.

The Visakh refinery processed 16.04 million tonnes of crude during the year and operated at 107 per cent of capacity, while the Mumbai refinery processed 10 million tonnes and operated at 105 per cent capacity.

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Total sales volume, including exports, rose 3.3 per cent to 51.45 million tonnes in FY26. Combined petrol and diesel sales increased 2.4 per cent to 31.06 million tonnes, while LPG sales rose 5.2 per cent to 9.41 million tonnes.

The company invested INR 157.05 billion (USD 1.64 billion) in capital expenditure during FY26, including investments in refining and marketing infrastructure, as well as subsidiaries and joint ventures.

HPCL Rajasthan Refinery Limited commenced crude processing trials in February 2026 (176 thousand tonnes). However, a fire broke out at the CDU unit on April 20, 2026. The company said the fire was brought under control without any casualties and restoration work is underway.

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HPCL expands retail and energy transition network

Hindustan Petroleum Corporation Limited also expanded its infrastructure and energy transition projects during FY26. The company commissioned 526 new retail outlets during the fourth quarter, taking the total to 25,098 outlets. Its LPG distributor network stood at 6,389 distributors.

Under its city gas distribution network, the company laid 160 inch-km of steel pipelines and 130 km of MDPE pipelines during Q4 FY26. HPCL also added 75 CNG outlets during the quarter, taking the total to 2,253 outlets. The company continued expanding solar-powered retail with 23,824 outlets now powered through renewable energy sources.

The company said its EBITDA improvement programme, Project Samridhi, contributed INR 16.91 billion (USD 176.7 million) during FY26. Its HP Green R&D Centre filed a total of 779 patents, of which 312 have been granted.

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During the year, HPCL signed a 10-year LNG supply agreement with ADNOC Gas subsidiary Abu Dhabi Gas Liquefaction Company. The company also signed agreements related to sustainable aviation fuel, green hydrogen, LNG marketing for heavy-duty vehicles, used oil recycling and regasification capacity trading.

The company added that one compressed biogas plant was onboarded under the SATAT scheme during the quarter, taking the total number of such plants to 18.